Note to Determination DEP 80
Following the issue of Interpretation Statement 10/01: Residential Rental Properties - depreciation of items of depreciable property ("IS 10/01") in Tax Information Bulletin Vol 22 No 4 (May 2010) the Commissioner has issued a general depreciation determination to provide a new list for the "Residential Rental Property Chattels" industry category. The list is consistent with the Commissioner’s position set out in IS 10/01 and includes items of depreciable property that are commonly found in residential properties.

Note: Some of these items cost less than $500.00 and under section EE 38 of the Income Tax Act 2007 low cost items (not part of any other property) may be treated as an expense item rather than separate depreciable property. Other items not common to residential rental properties have been removed but taxpayers may use a depreciation rate for a similar item in another industry or asset category. For example, depreciation rates for Spa pools/saunas that are listed in the "Leisure" industry category may be used.

General Depreciation Determination DEP80

1. Application

This determination applies to taxpayers who own depreciable property of the kind listed in the table below.

This determination applies from 1 April 2011, to the 2012 and subsequent income years.

2. Determination

Pursuant to section 91AAF of the Tax Administration Act 1994 I set in this determination the economic rates to apply to the kind of items of depreciable property listed in the table below by:

Deleting from the "Residential Rental Property Chattels" industry category all the asset classes, estimated useful lives and depreciation rates listed under that category.